Greater San Diego Association of REALTORS® Reports May 2026 Market Trends: Sales Decline Amid Low Inventory

Greater San Diego Association of REALTORS® — May 2026

In May 2026, the Greater San Diego real estate market experienced a total of 16 sales, a 23.1% decrease compared to the same month last year. New listings totaled 14, contributing to a tight inventory of just 21 active listings, resulting in a months of inventory (MOI) of 1.3.

Market Analysis

The current market conditions indicate a seller's market, characterized by a strong sales-to-new-listings ratio (SNLR) of 114.3%. With only 21 active listings available, the market remains highly competitive, despite a year-over-year decline in sales. The total sales in May 2026 are down from 20 in April 2026, reflecting a slight cooling trend as the market adjusts to changing economic factors. The months of inventory has increased from 0.9 in April, but remains low, indicating that demand continues to outpace supply.

Property Type Analysis

In May, detached homes accounted for the majority of sales with 10 transactions, while attached properties, including townhouses, saw 6 sales. The detached market remains robust, but the attached segment has shown a notable decline in median price, down 35.3% year-over-year to $514,500, which may reflect shifting buyer preferences or increased competition in the detached sector.

Regional Highlights

The Lemon Grove area, specifically zip code 91945, shows a mixed performance with 10 closed sales of detached homes at a median price of $786,500, which is down 3.5% year-over-year. The attached market in the same region has seen a significant increase in closed sales, up from 1 last year to 6 this May, indicating a potential shift in buyer interest towards more affordable housing options amidst rising prices in the detached market.

For Buyers

Prospective buyers are encouraged to act swiftly in this competitive market. With a limited number of active listings and a high sales-to-new-listings ratio, buyers should be prepared to make quick decisions and possibly submit offers above the asking price to secure a property.

For Sellers

Sellers should take advantage of the current market dynamics by pricing their homes competitively and ensuring they are in optimal condition for showings. Given the low inventory levels, well-presented properties are likely to attract multiple offers, potentially leading to favorable selling conditions.